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that this metric is clearly build for professional services whereby some modification has been made to make it become more useful to business and environment. To ensure that the non- financial performance measurement can give a better picture to the user, it portrayed the trend of non-financial information and colour coding individual amounts. Last but not least, although intangible asset monitor is able to provide insights into individual metrics, it is based on subjective judgment.

 

The fourth one is the Value Chain Scoreboard. It is designed to communicate information about the fundamental economic process of innovation and how the metrics fix into the cycle of development and commercialization. The measurement should be in quantitative form, standardized and confirmed based on evidence. Through the observation, users are able to compare companies by using the standardization common language. However, there are still underdeveloped notions in the proposal.

 

The fifth is value creation index. This is developed to measure the importance of different non-financial metrics in explaining the market value of companies. A research shows that the value perceived by the customer who drives corporate value are different with those perceived by the corporate themselves. Through observation, it provides two insights- what management perceived important may not same as the factors that market considered as important and non- financial metric need to be industry specific.

 

There are some similarities between these proposals and the description of AICPA Special Committee on Financial Reporting- the performance of key business process largely depend on the factors that create longer tem value. The author concludes a few elements of useful presentation of non financial elements from the observation. First of all, the metrics need to be presented in a systematic and ordered way. The environment promotes measure of performance metrics for each rather than measuring the performance in theoretical terms. Another element is metrics presented must be shown in terms of industry or market. The author also observed that although unusual metrics is interesting, traditional measures is more useful as it can provide the information for the relationship between customer and employees, less costly to develop, more understandable, and more comparable from one entity to another. Besides that, the changes of metrics over time can provide consistency. Lastly, the metrics should, have ability to show changes over time, should show both good and bad news and provide information that enable comparison with comparable metrics presented by other companies,

 

Concerning on the cost and benefit, AICPA Special Committee outlined some ways for managers to control the cost of non-financial measurement. First, managers do not need to disclose the information that is outside the managers’ expertise. Secondly, managers do not need to report those information which will harm a company‘s competitive position. Additionally, managers do not need to forecast a company’s f本论文由英语论文网提供整理，提供论文代写，英语论文代写，代写论文，代写英语论文，代写留学生论文，代写英文论文，留学生论文代写相关核心关键词搜索。